Monthly Archives: July 2015

Top financial blunders done by every Businesses and Individuals

 

Money is one ultimate thing which is commonly needed and used by any individual across the world irrespective of their race, gender or background. When it concerns with money there are two things one is making it and the other is losing it.

You could be an owner of an operational business enterprise, or just a student, home maker or finance professional, it is essential to know where one can lose money. Quite often people lose money due to lack of planning. If one knows when and where they would require money well in advance it becomes easy to procure them without hassles. Last minute fund raising for any purpose will prove to be costly with high interest rates. Further, it is not going to be easy to procure money in the last moment from bankers, lenders or from anyone near and dear. Hence, it is highly necessary for people to manage the existing cash flow and thus be prepared for situations of necessity.

Budgeting and expense tracking is not just for accountants. It is essential for each and everyone to have a track of their expenses in order to know where they are over spending or being careless in spending money. An awareness of the needs and demands will ensure that money is being spent only for necessary reasons and not splurged unnecessarily. Credit cards are best if stayed away from and in case if you are planning to use them then a thorough understanding of the credit cycle and billing cycle along with interest and penalty charges are required. They are to be used only for very immediate and urgent situations as they come with very high interest rates higher than any bank interest rates of any other loans such as home loans, vehicle loans or personal loans.